If you’re reading this because you’re 40 years old (or older) and are seriously considering the fact that you need a life insurance policy, you’re probably looking for the best rates.
If you’re interested in learning more about what life insurance costs as well as your policy options at age 40, you can start comparing rates immediately using our online quote tool.
Life insurance is the most important safety net that you’ll ever buy for your loved ones. It’s one of the few ways that you can guarantee that your family will have money once you pass away, but it can be difficult to find an affordable plan the older that you are.
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What Is The Best Type of Life Insurance for a 40 Year Old?
One of the first questions you should ask yourself is whether you want permanent life insurance or term life insurance.
There are pros and cons to each.
For example, permanent life insurance is great for many people because it provides you with coverage for the rest of your life, therefore ensuring that your loved ones get a death benefit no matter when you pass.
On the other hand, term life insurance can save you a lot of money because it provides you with coverage for a standard length of time— normally between 10 and 30 years— which typically covers you during the time in your life when you need coverage the most.
Convert Your Term Policy
Many term policies can also be converted over to permanent life insurance before they are up, even if you’ve been paying the same low premiums for a certain number of years.
Let’s explain the difference between the two, let’s say George is a 40-year-old male looking for a $500,000 policy. With permanent coverage, he would end up paying some $2,298 annually (with No Lapse Universal Life), but with term coverage, he would only pay about $615 annually.
So, term life insurance is actually the better option for most people because of its comparably low price. Price isn’t everything though. You need to take the time to consider all of the possible options and weigh the pros and cons of each of them.
Term Life Insurance Rates at Age 40
Now we’ll go into a little more detail to show how much you could end up paying with term life insurance at your age (remember that you can always start comparing rates on your own using our online quote form).
Rates for a $200,000 policy:
Life Insurance Without a Medical Exam
You may have already heard that it is possible to get a life insurance policy without a medical exam. This is true if you meet certain other requirements and are typically seeking a policy worth $399,000 or less.
Rates for these kinds of policies are often more expensive, however, so they are not for everyone. For example, let’s consider a $250,000 policy – a 40-year-old man would be offered around the following for a $250,000 No Medical Exam life insurance policy (keep in mind that the traditional health ratings do not necessarily apply):
Rates for a $250,000 No Exam Policy:
Now, the truth is that you can usually get better rates if you go through with a medical exam as part of your life insurance application.
That said, medical exam life insurance policies tend to take longer to get approved than non-medical exam policies, so if urgency is important to you, going for a policy without one may just be for the best.
Is A No Exam Policy Right for You?
No exam life insurance plans are the only choice for some people, but there are several drawbacks to these plans. Cost is a major issue here.
With a no exam policy, the company is taking a greater risk to give you life insurance because they don’t know your health. To safeguard the risk of taking you on as a client they will pass that expense on to you.
It also a concern for some prospective applicants that you’re limited on face value with no exam policies. At $25,000 the coverage offered normally won’t protect the future of your family enough.
In the end, you would have to buy several of these policies to make sure your loved ones are left with enough cash to pay down any debt.
The Best Life Insurance Companies for 40-Year-Olds
Once you decide that a life insurance policy is right for you, it’s time to start comparing rates and weighing your options with different companies. We work with over 30 different companies and have compiled a brief list of the best providers:
- American General
- Banner Life
- North American Company for Life & Health
- Protective Life
How to Find Cheap Life Insurance in Your 40s
There’s no set age where life insurance premiums take a big jump. And turning 40 shouldn’t hinder you from getting a plan. Actually, you probably qualify for more affordable premiums than you think.
Step one is applying as soon as possible. Your age is the biggest factor that will impact how much you pay. The longer that you wait, the more that you’ll pay every month. If you want to get the cheapest life insurance, don’t wait another year.
Improve Your Health
Another way to save money is to improve your health. Your health is going to determine how much risk you are for life insurance. The more risk that you are, the more that you’re going to pay.
One way that you can improve your health is to cut out any tobacco that you currently use. Simply put, your monthly bill will probably be double if you are a user of nicotine. If saving money is on your list than quitting your use needs to be too.
Another way to improve your health and lower your rates is to stick to a healthy diet and get regular exercise. These steps will lead to weight loss and drops in blood pressure. If you’re overweight when you apply for life insurance, then you’re going to pay around 50% more for your coverage.
Independent Agents Help Find the Cheapest Rates
Want to save time and money on your search? Still, have puzzling questions on turning 40 and getting cheaper rates? We are here to answer those questions and put you in the perfect plan for you and your family.
You can also check out our article that covers life insurance for people in their 30s and 40s.